Salesforce has announced its decision to purchase data visualization firm Tableau for an astounding $15.7 billion in an all-stock deal. It is a significant increase from Tableau’s market cap, which was at $10.7 billion. This is a huge step for Salesforce as it aims to diversify beyond its cloud-based CRM (Customer Relationship Management) solutions and establish its presence in the analytics arena.
Tableau was a leading provider of data visualization solutions, meaning that its products helped corporations analyze their data better and derive useful insights from it. Headquartered in Seattle, Washington, Tableau has over 85,000 customers and some of the most famous ones include Netflix, BNP Paribas, Dell, ebay, Schneider Electric, and so on. It was reported that Tableau would operate independently even after its acquisition and remain at its headquarters in Seattle and also retain its current leadership team.
Salesforce being one of the leading corporations in CRM, would likely see its customer service and market share increase by leaps and bounds. With increasing globalization, companies are constantly having to deal with increasing mounds of business data, the analysis of which poses an increasingly difficult challenge. Efficient analysis of data is one of the crucial factors that drive strategic growth and any measure of the increase in analytics capabilities would pave the way for businesses to understand customer needs and market fluctuations better.